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Need advice re-building low-mid end PC

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The Story:
My dad's PC really sucks, it freezes constantly and in general it is very slow. I barely use it when I visit him, so yesterday he talked to me about it and wanted me to do a budget to rebuild it, he wants to keep what it is necessary to keep costs very low, I built it myself on December 2004, that is almost 5 years ago.

So I opened the case and checked what could stay and what should go.... well the only thing useful was the case, lol.

The budget:
So I checked the benchmarks and looked what is available on the market, I am interested on changing these 5 components: CPU, GPU, MB, RAM and HD.

1) CPU: Intel Core 2 Duo E8400 @3 GHz; 1333 FSB $167.99
2) GPU: GeForce 9600 GT 512 mb pci-e $97.43
3) MB: Asus P5KPL-CM G31 Micro ATX $60.89
4) RAM: CT25664AA1067 DDR2-1066 1 piece of 2 GB $39.98
5) HD: Sata2 1TB Caviar Green WD $79.99

Total: $446.28

My concerns:
I think this budget is a bit high for him, he saw it and he was ok with it, but I think the CPU is way to fast for what they do (dad and sister), he barely uses it, my sister is the main user and she just do Facebook, Youtube, listen to music, messenger and surf in general. I couldn't see the low-end CPU bench on tomshardware or I think I missed them, so...

What do you think? How can I shrink more the budget?

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I recommend this Corsair XMS2:

http://www.newegg.com/Product/Product.aspx?Item=N82E168...


For only $10 more after MIR, you'll get 4GB instead of 2GB
and that RAM will be running in dual-channel mode.


Then, after your OS is installed, add a ramdisk using
RamDisk Plus from www.superspeed.com , which can
now utilize unmanaged Windows memory.


The EVGA 9800 GT is only $12 more:

http://www.newegg.com/Product/Product.aspx?Item=N82E168...


Also, check the specs on your existing PSU:
you would be wise to upgrade with a modern PSU
and also a quality UPS (uninterruptible power supply).

The latter 2 components are easily THE best insurance
you can purchase for a new PC.


MRFS

MRFS said:
I recommend this Corsair XMS2:

http://www.newegg.com/Product/Product.aspx?Item=N82E168...


For only $10 more after MIR, you'll get 4GB instead of 2GB
and that RAM will be running in dual-channel mode.


Then, after your OS is installed, add a ramdisk using
RamDisk Plus from www.superspeed.com , which can
now utilize unmanaged Windows memory.


The EVGA 9800 GT is only $12 more:

http://www.newegg.com/Product/Product.aspx?Item=N82E168...


Also, check the specs on your existing PSU:
you would be wise to upgrade with a modern PSU
and also a quality UPS (uninterruptible power supply).

The latter 2 components are easily THE best insurance
you can purchase for a new PC.


MRFS


Thank you for your prompt reply, unfortunately I can't buy from newegg since I do not live in the US, so Amazon.com is the best choice I have and I always get better prices buying online rather than local stores.
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I suggest getting the e5200 wolfdale pentium dual core. Its $65 with free shipping at newegg! Its a 2.5ghz Pentium dual core with a 2mb cache. I have one in my data server at work and its great for the price! I have it running @ 3.4ghz on a cheap $60 MSI mcp73 motherboard with some 800mhz ram stable as can be. These CPU's are great for overclocking and run really cool. and I don't think you need a 9600 to surf the web. I'd recommend an 8500 or 8600. Both of those will play new games at lower resolutions just fine. For budget builds i look at newegg's open box section for some cheap deals.

you were saying that they are only doing internet, music, and watch videos?
if no games or video editings are gonna be done on that new pc,
i would get these
e1500 2.2 dual core (i have it for my brother's budget pc, just for internet use, and very little gaming) it is OCed to 3.2 with stock cooler about 1000 points increase in 3Dmark06 (on gigabyte P31 board) for him, this cpu is more than enough with OC maybe perfect without

3 or 4GB or ddr2 most likely 800mhz (dual channels) (1,512,1,512 or 1,1,1,1)

seems like the mobo u chose is fine(im gigabyte fan so just in case u should check them out)

i think gpu is overkill. you can save some money here also.
9500gt or 4650
even more cheaper - 9400gt or 4350

i suggest u getting a new psu also, u said its 5 years old, so it might not have same specs on the sticker anymore.
with parts i suggested u i think 350w is enough(considering no upgrades in future)
silver stone 350w st350 looks okay for this pc

total price of these items in newegg is about 250 - 300
its all about ur choice and this is just what i think haha

For that prie on ram you can get 4G.

Green drives are slower, get a black drive.

You dont need a Graphic card the onboard is fine for non gaming.

Get the e1500 or e5200 for CPU.

The Athlon II X2 will be a very good budget CPU.
As to AMD and FSB, they simply don't have one, so all you've got to do is check that the motherboard is compatible with the CPU and off you go!
Seriously, consder either the Athlon II or the Phenom II X2. The Phenom II X2 can perform close to the E8400 and is almost $65 cheaper. You can't go wrong with it.
Otherwise, the E5200 is good too.
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